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5. Jason sells stock with an adjusted basis of $66,000 to JJ Inc., his 60% owned corporation, for its fair market value of $60,000. JJ

5. Jason sells stock with an adjusted basis of $66,000 to JJ Inc., his 60% owned corporation, for its fair market value of $60,000. JJ Inc., sells the stock three years later for $$67,000. What would JJ Inc.'s recognized gain or loss on the sale be?

a. $-0-

b. ($3,000)

c. $1,000

d, $4,000

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